Robinhood Markets Inc (NASDAQ: HOOD) is working inside its app to permit customers to mortgage out their shares to different monetary establishments to compete with extra typical brokerages.
The program, referred to as totally paid securities lending, may very well be accessible within the coming months, mentioned Robinhood. Work on the characteristic appeared in a beta model of its iPhone app.
“We are nonetheless on track to launch this product within the first half of 2022, which can present much more worth to our prospects,” Robinhood consultant Rouky Diallo mentioned in an emailed assertion. Code describing the service was found by developer Steve Moser and shared the data with Bloomberg.
The service is named Stock Loan Income Program (SLIP) inside the app, giving customers “the chance to earn passive earnings by lending complete shares of shares to different establishments,” in accordance with the characteristic’s description.
The lending program would rival comparable options provided by Fidelity Investments, Morgan Stanley’s (NYSE: MS) E*Trade, and Charles Schwab Corp, which permit prospects to earn passive earnings by loaning their shares.
In January, Chief Executive Officer Vlad Tenev mentioned that Robinhood was engaged on such a characteristic with out providing specifics.
Price Action: HOOD shares traded 0.16% increased at $12.80 throughout after-hours buying and selling on Wednesday.
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https://www.benzinga.com/fintech/22/03/26179858/robinhood-working-on-stock-lending-feature-competes-with-fidelity-morgan-stanley-bloomberg
(HOOD), Morgan Stanley (NYSE:MS) – Robinhood Working On Stock-Lending Feature, Competes With Fidelity, Morgan Stanley: Bloomberg
